Haw. Rev. Stat. § 490:9-618

Rights and duties of certain secondary obligors

Known as the Uniform Commercial Code

The act spans §§ 490–490 (641 sections).

Applied in 2 court decisions — leading case Construction Services of Samoa, Inc. v. Bank of Hawaii (2004)

Most recently applied in Construction Services of Samoa, Inc. v. Bank of Hawaii (June 2004)

L 2000, c 241, pt of §1

(a) A secondary obligor acquires the rights and becomes obligated to perform the duties of the secured party after the secondary obligor:

(1) Receives an assignment of a secured obligation from the secured party;

(2) Receives a transfer of collateral from the secured party and agrees to accept the rights and assume the duties of the secured party; or

(3) Is subrogated to the rights of a secured party with respect to collateral.

(b) An assignment, transfer, or subrogation described in subsection (a):

(1) Is not a disposition of collateral under section 490:9-610; and

(2) Relieves the secured party of further duties under this article.

Official source: Hawaii State Legislature. Reproduced from public-domain Hawaii statutes; confirm against the official source for the current text. Not legal advice.